Contact our Mortgage Broker
- to discuss your situation. Are you a first time buyer,
investor, considering refinancing? You may be ready to buy, or need some direction in how to
prepare financially. If you have credit problems, now is a good
time to begin repairing your credit.
You have homework - To begin
the process you'll need to gather your financial documentation.
Here's a preliminary list of documents we will request:
recent 2 years Federal Taxes & W-2's
recent one month pay-stubs
last 3 months bank statements; including checking, savings,
investments, 401k's and retirement accounts
recent credit statements for consumer credit, car loans, and
you are currently renting, we'll need your landlord
information. But will not contact any landlords, until you
have given your 30 day notice
you are refinancing: the most recent mortgage statements for
your current loans. If you live in a condo, we will need
your property management company info
you are self-employed: we will need a recent profit &
loss and a balance sheet
It's important that you retain your financial records for tax
purposes. If you dispose of any of your records, for your
own safety and privacy, please shred all records.
The Initial Meeting
- set an appointment with your Mortgage Broker. Set aside approximately 1-2 hours. At this time,
further discuss your situation, ask any questions you have,
and discuss loan programs. Then you will complete your loan
application, an authorization to obtain a credit report, and
some initial disclosures.
4. After the first meeting -
Your Mortgage broker will begin the loan processing.
Essentially, this is the orchestrating of all the elements of
the loan. Your credit report will be run and reviewed for any
your credit is run and your financial documentation is reviewed,
your broker can safely issue a pre-qualification letter (if
needed for a purchase transaction).
and title will be opened, the appraisal will be ordered, and the
verification of your financial documentation will proceed.
purchase transactions, when you are required to obtain lender
pre-approval in a matter of days. Your Mortgage Broker will submit a
preliminary package to the lender for immediate borrower credit
Submission of your loan package to the
lender - when your Mortgage Broker has all the documentation required
by the lender, they will submit your package for underwriting and
loan approval. The lender will analyze your financial
documentation and issue a conditional approval.
Other elements of the transaction
- You will receive escrow instructions to complete. Escrow's
purpose is to act as a neutral third party in real estate and
mortgage transactions; executing instructions agreed upon by
borrowers, lenders, buyers and sellers.
property you are purchasing or refinancing will be appraised.
And if this is a purchase, there will most likely be a
you are purchasing a home, you will need to shop for hazard
insurance at this time. Obtain a quote you like, and submit the
information to escrow, they will pay the premium and handle the
rest for you at the close of escrow.
Loan Approval - the lender
has issued loan approval, and may ask for some additional
documentation. Now, the Mortgage Broker is ready to lock your interest rate and
draw loan documents.
Signing Loan Documents -
your Mortgage Broker will arrange with the lender and escrow
to have your loan documents ready for signatures.
then sign your loan documents.
If you are purchasing a home
- this is when you obtain a cashier's check or arrange with the
bank to wire your funds to escrow. You will have your final
dollar figure when you sign loan documents. Escrow will need
your money at least 2 days prior to close of escrow.
The Lender Funds your Loan
and Escrow records the necessary documents with the County
Recorder. Escrow then figures the final costs, and completes the
closing documentation to be distributed to all parties. This is
called the close of escrow.
Obtaining a loan usually takes approximately 30 days from start